Manchester — Bob's Discount Furniture will expand its corporate headquarters in Manchester, adding 125 jobs over the next five years, Gov. Dannel P. Malloy announced Tuesday.

With financial help from the state, the national furniture retailer plans to build a 103,000-square-foot building next to its current store and headquarters on Tolland Turnpike. The company is to launch the project this spring, officials said.

"Bob's is committed to Connecticut, and Connecticut is committed to Bob's," Malloy said at a news conference in the store. "We're proud to support this expansion project to grow jobs and grow our economy."

The state Department of Economic and Community Development will provide a 10-year, $7 million low-interest loan to support the project, officials said. The company also is eligible for a $1.7 million grant to train employees and up to $11 million in tax credits, officials said.

The planned new building is meant to accommodate growth and serve the company's long-term operating requirements — consolidating management and administrative functions within a single campus. Bob's employes 326 people in Manchester.

Founded in Newington in 1991 by Bob Kaufman and Gene Rosenberg, the company has 69 stores across 12 Northeastern and Mid-Atlantic states and recently expanded into the Midwest with several Chicago-area stores. Bob's has a store in Niantic and a distribution center in Taftville.

Boston-based private equity firm Bain Capital is the company's majority shareholder. Kaufman, who attended the news conference in his iconic yellow polo shirt and bluejeans, said his title is now "President Emeritus." He said he could not have envisioned this day 25 years ago.

"It's been an incredible ride," Kaufman said.

Sen. Steve Cassano, D-Manchester, said there was a real danger that the company would move its corporate headquarters to Boston. Cassano said state workers scrambled to put together an incentive package to keep the rapidly growing retailer in Manchester.

"These long-term, permanent jobs are great for Manchester, the region and for Connecticut," Cassano said. "These are the types of private-sector projects that we need to be investing in if we are to keep Connecticut moving forward."